What Are Prize and Lottery Scams?

Lottery Scam is a form of advance fee fraud orthe name is real and is registered it may still just be a
money laundering. Every day thousands of falsemasquerade. Swindlers may use legitimate names for
emails are sent to potential victims. You may betheir fraud activities.
tempted to try out if the scam is real, but doing so can6. You are being said that "Participants" were selected
be dangerous. If you post any of your personalrandomly from any world wide country and the price is
information, the scammer may collect it and in somepart of a promotion program.
later case will play YOU as his character. There is no7. Any request for money to be paid in advance.
need telling he will use your name for fraudulentUsually such requests occur in later replies and not in
activities. He may use your personal information to getthe first "winning notification". Any fees that could
jobs in your name. He may use it to steal from peopleoccur would be directly deducted from your actual win
and transfer the money into an account with youror for paying taxes you only do this with the usual
name. All your money may be used and gone if amethod by filling the tax form and sending it directly to
scammer obtains sensitive information. During theyour government. Foreign government taxes are being
procedure of a lottery scam you may lose yourdeducted before payout. Such a scam is called an
money or your identity could be stolen. Both of themadvance fee fraud. Legitimate lotteries will never ask
are equally dangerous.for money!
How to Recognize Lottery Scams?8. There is no website or official rules. All lotteries must
1. You received the "winning email" but you have notbe registered and licensed with a gaming commission
participated in the contest or bought a ticket. Institutionsor regulator. A regulator may be ministry of finance,
can't just randomly pick you if you are not even in theirministry of economics, national gaming authority... Click
database! To win in a contest you firstly had to enter ithere for an example list of regulators in Europe. World
by the means that your institution required. In a lotteryLotteries provides a great list of official government
you do that usually with purchasing a ticket but somelotteries. Check under directory. Also visit North
require different means to enter the contest such asAmerican Association of State and Provincial Lotteries
writing a song, making of an item, giving your best ideaif you are interested.
on a certain subject... List is endless, however the all of9. You are being sent a counterfeit check or money
them have one thing in common, you must personallythat needs to be cleaned. Once you receive this
participate! It is against the law to make use of youramount you will be told you need to give some
email address without your permission.amount back or forward it to a bank account/person
2. The country of the lottery does not match your livingbecause too much was sent. This way you will clean
country or you are not citizen of it.the money. The checks/drafts may be stolen or
3. Without entering the contest in the first place youcounterfeit. Read more in Check Fraud.
received an email including your personal information.10. You have to travel to another country in order to
This email could include your name, address, city andclaim your winnings. If you would travel you would
zip code, phone number and maybe even your creditprobably soon recognize there is no prize waiting for
card or bank account number! If you did not personallyyou or you would meet face to face your scammer
enter this information and did not participate in thewhich could be potentially dangerous. This "rule" also is
contest you may even have been a victim of identityused to fool you. Rarely someone is willing to travel for
fraud!a supposed prize they know nothing of. Swindlers
4. If you wanted to buy a lottery ticket you did notknow this, so once you say you will not travel they will
have to enter your personal information.make up fees you have to pay to claim your win.
5. You never heard of the lottery company. Even if